The Group of Seven nations intend to implement a price cap on Russian-origin crude oil and petroleum products, according to a joint statement released today by the G7 Finance Ministers.
The EU has released a new frequently asked questions as relate to its Russia sanctions regime. The European Commission updated its consolidated FAQs page while issuing specific FAQs on central securities depositories; import, purchase and transfer of listed goods; execution of contracts and claims; asset freeze and prohibition on making funds and economic resources available; insurance and reinsurance; reporting obligations under the oil import restrictions; and public procurement.
The U.K. Office for National Statistics released a report on the impact of the Russian sanctions regime on British trade with Russia as of June. The report found imports of Russian goods totaled over $38.65 million in June, a 96.6% drop from the average monthly imports in the 12 months to February. The U.K. didn't import any fuel from Russia in June for the first time since records started being kept in January 1997, with alternatives found from Saudi Arabia, the Netherlands, Belgium and Kuwait, the report said. Imports of all commodities declined compared with the monthly average for the 12 months prior to February. While exports slightly increased compared with May, the levels dropped by 66.9% from the monthly average for the 12 months before February, the report said.
Switzerland added two individuals to its Russian sanctions list following their addition to the EU's sanctions regime, the Swiss Federal Council announced: Viktor Fedorovych Yanukovych and his son, Oleksandr Viktorovych Yanukovych. The council said Viktor Yanukovych was a party to a scheme where Yanukovych would have replaced Ukrainian President Volodymyr Zelensky, while Oleksandr Yanukovych has carried out transactions with separatist groups based in Ukraine's Donbas region. The council also amended the entry for Sergey Yurevich Kuzovlev.
A group of European countries not in the EU aligned with a recent sanction move under the bloc's Russia sanctions regime, the European Council announced Aug. 25. In early August, the council added two individuals to the sanctions list for undermining the sovereignty of Ukraine and for advancing Russian interests over the annexation of Crimea. The countries of North Macedonia, Montenegro, Albania, Ukraine, Bosnia and Herzegovina, Iceland, Liechtenstein and Norway aligned with the decision, ensuring that their national policies conform to the decision, the council said.
The recent surge in U.S. sanctions and export controls on Russia is causing resource strains for compliance teams, KPMG lawyers said during a webinar last week. Constantly expanding restricted party lists, as well as due diligence requirements under the Commerce Department’s military end-user rules, have become increasingly time-consuming and expensive to comply with, the lawyers said.
Citigroup will officially wind down its consumer banking and local commercial banking activities in Russia this quarter, the bank said Aug. 25. Citi said the wind-down, spurred by U.S. and multilateral sanctions against Russia for its invasion of Ukraine, will affect 15 branches and a range of deposits, investments, loans and cards. “The wind-down will be carried out in compliance with applicable regulations and Citi will honor its obligations to clients, employees and partners,” the bank said. “As previously noted, Citi continues to support its multinational institutional clients, particularly those which are undergoing the complex task of winding down their operations in Russia.”
The U.K. removed one entry from its Russia sanctions list, it said in an Aug. 23 notice. The Office of Financial Sanctions Implementation dropped Mikhail Vladimirovich Razvozhayev, the governor of Sevastopol, from the list. Also, OFSI amended 41 entries under the Russia restrictions and corrected another entry. The listing for Vladimir Olegovich Potanin, the owner of Rosbank and one of Russia's richest people, was corrected to add his middle name.
The Treasury Department warned Turkish businesses this week that they may be hit with U.S. sanctions if they do business with designated Russian people or entities, The Wall Street Journal reported Aug. 22. In letters to the American Chamber of Commerce in Turkey and the Turkey Industry and Business Association, Treasury Deputy Secretary Wally Adeyemo warned Turkish companies that they will be cut off from American banks if they do business with sanctioned Russian banks.
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